The final full week of July was characterised by green and sustainable issuance on both sides of the Tasman Sea. International Finance Corporation brought New Zealand's first green bond while Australian Catholic University printed a capped A$200 million (US$159.4 million) in Australia's first sustainability bond and European Investment Bank priced A$200 million in a climate-awareness bond.
Macquarie Bank (Macquarie) disclosed on 28 July that it is preparing to meet investors in a series of residential mortgage-backed securities (RMBS) meetings to commence the week of 31 July. An Australian dollar-denominated RMBS under Macquarie’s PUMA programme may follow, according to the meetings’ arrangers ANZ, Commonwealth Bank of Australia , Macquarie Bank, National Australia Bank, Wells Fargo Securities and Westpac Institutional Bank.
On 28 July, CNH Industrial Capital Australia (CNH Capital) revealed plans for a series of asset-backed securities (ABS) investor meetings to commence in the week of 31 July. An Australian dollar transaction under CNH Capital’s ABS programme may follow, according to the meetings’ arranger ANZ.
Verizon Communications (Verizon) (BBB+/Baa1/A-) revealed on 28 July that it has mandated banks to arrange a series of fixed-income investor calls on 1 August. The calls’ arrangers, Deutsche Bank and J.P. Morgan, add that an inaugural Kangaroo bond may follow, subject to market conditions.
Rentenbank mandated a A$50 million (US$39.8 million) minimum increase to its September 2022 Kangaroo bond late in the Australian day on 27 July. The lead manager, Nomura, says the tap is being marketed at 48.375 basis points over Australian Commonwealth government bond or 33 basis points over swap.
The Kauri market’s debut green bond, mandated by International Finance Corporation (IFC) (AAA/Aaa) on 26 July, progressed to launch the following day. The NZ$100 million (US$75.2 million) minimum 10-year deal, which supports “climate-smart investments” is being marketed at 58 basis points area over mid-swap or 90.6 basis points area over New Zealand government bond, according to lead managers ANZ and BNZ.
Municipality Finance (MuniFin) (AA+/Aa1) mandated an increase to its July 2027 Kangaroo late in the Australian day on 26 July. The forthcoming deal is for minimum volume of A$25 million (US$20 million) and is being marketed at 74.5 basis points over government bonds or 62 basis points over swap, according to lead manager Nomura.